ecotel communication ag, a leading German quality provider for business customers, announced its financial results for the first half of 2026, demonstrating continued stable business development. The company reported a 14.7% increase in group revenue to EUR 65.4 million, compared with EUR 57.0 million in the prior-year period. This growth was primarily driven by the ecotel Wholesale segment, which saw revenue rise to EUR 40.7 million from EUR 32.1 million, fueled by strong performance in the Voice business and positive developments in the Data business. The Business Customer segment remained stable, generating revenue of EUR 24.7 million.
Gross profit improved to EUR 18.7 million from EUR 17.8 million, reflecting enhanced value creation. EBITDA increased to EUR 3.7 million from EUR 3.2 million, and EBIT rose to EUR 1.5 million from EUR 0.9 million. Net income grew to EUR 0.9 million, with earnings per share (EPS) reaching EUR 0.25, up from EUR 0.20 in the previous year. Cash flow from operating activities turned significantly positive, amounting to EUR 2.8 million compared with a cash outflow of EUR 0.6 million in the prior year. Free cash flow also improved substantially to EUR 0.9 million from EUR -2.8 million.
As of June 30, 2026, the group reported cash and cash equivalents of EUR 1.4 million, with net financial assets improving by EUR 3.5 million year-on-year to EUR 1.4 million. In August 2026, ecotel will make a VAT payment of EUR 2.8 million to avoid additional interest charges, despite maintaining its differing legal opinion and having filed legal remedies against the assessment notice. This payment will impact cash flow in the remainder of the year, but the company affirms its solid financial and liquidity position.
Based on the first-half performance, ecotel confirms its expectations for fiscal year 2026, with revenue likely at the lower end of the guided range. Management remains focused on maintaining stable operating performance, expanding higher-margin services, and sustainably strengthening the group's financial position and balance sheet structure. The company's strategic focus on 'cloud & fiber' positions it well in the German telecommunications market's growth areas.
